The maverick Phillip Chiyangwa is set to list his engineering concern Zeco Holdings on the Zimbabwe Stock Exchange in a multi –trillion dollar deal that will certainly cement his place among the country’s top businessmen.

Zimbabwe Stock Exchange

However, the former politician is likely to reap big through foreign investors who will be required to purchase the shares in either United States Dollars, Sterling pound or the South African rand.

And with Chiyangwa having indicated that he is willing to dispose a 40 % stake to foreign investors’ speculation is rife on the ZSE that the flamboyant businessman will opt for foreign currency to the useless Zimbabwean dollar.

Part of the Zeco prospectus reads: “ Cheques, bank drafts and telegraphic transfers must be in United States dollars, Pound Sterling, or South African Rands sourced from a Foreign Currency Account. Remittance from FCA’s must be accompanied by a letter from the bank with which the funds are held confirming the foreign source of the funds.

“Total foreign shareholdings may not exceed 40% in the aggregate and no single shareholder may hold in excess of 10% of the shares in issue after the listing.”

The business mogul also appears to have struck an understanding with the Reserve Bank of Zimbabwe as he seeks to avoid being slapped with foreign exchange violations in respect to dealing with foreign currency.

In the prospectus Chiyangwa says the RBZ has the sole right to endorse and turn down a transaction involving foreign currency.

“Whenever a Zimbabwe resident or foreign resident carrying on a business in Zimbabwe wishes to undertake a foreign currency transaction or any other transaction involving an outflow of money from Zimbabwe that person’s ability to do so is controlled by the exchange control system.

On the business front Chiyangwa revealed that Zeco Holdings is looking at capitalising on the vast amount of business opportunities that will be generated by the hosting of the 2010 World Cup by South Africa among other things.

“The anticipated increase in tourist arrivals during the World Cup to be held in South Africa in 2010 creates scope for increased business activity in the construction of hotels, stadia bridges and related facilities.

“There is scope for the repairs and construction of new bridges to restore or develop the country’s road infrastructure which was badly damaged by cyclones in recent years,” he said.

If all goes according to plan Zeco Holdings is expected to start trading on the local bourse on the 22nd February.

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